California Republic Bancorp completed a $325 million securitization of auto loans to close out the year. The deal, which included both new and used loans, closed December 18th.
According to a report from Standard and Poor’s, the average Fico score for loans included in the package increased to 698, up from 695. Fico scores at 720 and above included 32.1% of loans, up from 30.8% of loans in the bank’s previous ABS.
The securitization has six tranches. The first $45.5 million of A-1 class notes carries an S&P A-1+ rating, with a maturity date of Dec 15, 2015. The final of the six tranches is a Class C note valued at $10.9 million with a BBB S&P rating and a maturity date of Sept. 15, 2021.
The weighted average loan-to-value ratio increased to 114.1% from 113.3% in the previous securitization. The average original loan term of the current offering is 68.7 months, and the average remaining loan term is 67.47 months. The average seasoning of the loans was 1.27 months, up from 1.23 months. While average time seasoning has been on the rise for California Republic’s auto loan-backed securities in 2014, totals lag behind 2012 totals, which topped 4 months active.
California Republic Bancorp is the holding company for California Republic Bank and CRB Auto Inc. The company offers lending and banking services to commercial business and consumers.
During the third quarter of 2014, California Republic’s prime auto loan originations increased 75% to $328 million, up $141 million from a year ago.